It was founded on July 1, 1858, by Lopo Gonçalves Bastos, João Batista Ferreira de Azevedo and José Antônio Coelho Júnior to facilitate their commercial transactions.

In 1859, a building was bought in Largo da Alfândega, where the bank operated until 1885, when the new headquarters, located on the corner of Sete de Setembro and General Câmara streets, was inaugurated.

In 1909, it obtained authorization to implement the Caixa de Depósitos, which allowed it to receive deposits, grant popular loans and discount commercial bills, as well as extend its services to the interior of the Rio Grande do Sul.

[4] In 1914, the bank was affected by the economic crisis caused by World War I and had to reduce its activity, close some branches and liquidate its real credit department, which lent long-term and at low interest rates.

[2][6] In 1969, the bank faced intervention by the government of Rio Grande do Sul based on the allegation that some groups from outside the state were planning to assume control of the institution.

Despite protest from its shareholders and board of directors, it was classified as a "public utility" through an act signed by Governor Walter Peracchi Barcelos.